Gender, Inequality and the Crisis

The contemporary global economic crisis inspired many activist, policy and academic debates on the desirability and possibility of moving away from the prevailing neo-liberal model of capitalism. It thus provides an opportunity to articulate a call for a more inclusive model of development which, by definition, should integrate a gender perspective and so address questions of fairer access to resources and decision making power and consider the value of activities beyond narrow market concerns. As outlined in Chapter 1, the economic crisis was sparked by mismanagement of capital markets in the financial centres of the western world, but the underlying causes are complex and deeply rooted in rising economic inequalities associated with the neo-liberal model of global development. After the first financial phase of the crisis and initial expansionary policy responses, ¹ a second phase ensued, as a consequence of policy reversal, in favour of fiscal consolidation and associated austerity measures including public spending cuts in the attempt to reduce government deficit and debt. Although the intensity and duration of the economic crisis has varied, many countries worldwide have been affected. With respect to its second phase — austerity — it is more accurately described as a European and North Atlantic phenomenon (Krugman 2012a) and associated with a sustained period of very low or negative growth, while elsewhere, especially in the emerging economies, growth has resumed.